Question

Why does building a ladder of bonds potect against changes in interest rates?

Answer 1

Answer:

Build a bond ladder to boost

Step-by-step explanation:

By using a bond ladder, you smooth out the fluctuations in the market because you have a bond maturing every year or so. The second reason for using a bond ladder is that it provides investors with the ability to adjust cash flows according to their financial situation.Sep 18, 2019